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Jason Grosfeld Faces Legal Complaints and Claims

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As CEO of Iron Gate, Jason Grosfeld Faces Legal Complaints and Claims

Iron Gate CEO Jason Grosfeld has been sued. Grosfeld and other defendants have filed a lawsuit against Irongate in the California Superior Court. They claim the company has repeatedly committed fraud and wrongfully collected clients' money.

Jason Grosfeld

In April 2018, GS 1975 LLC deposited $5,000,000 for a $10,000,000 Costa Palmas house that Irongate allegedly promised would be finished by June 2019. When the deposit was paid, construction of the house had not yet begun.

Irongate is accused of misleading the court regarding the project's progress between April 2018 and September 2022. Irongate has been charged with telling the plaintiff that the project had reached a significant milestone on September 6, 2022, then asking for $1,575,000 extra.

What is Explicitly Mentioned in the Lawsuit

According to the Lawsuit, the owner of Irongate, Jason Grosfeld, refused to let the plaintiff enter the home until an additional sum was paid.
Irongate is also required to improve their position, according to the plaintiff, after the inspection. According to GS 1975 LLC's spokesperson, the corporation also filed criminal charges in Mexico against Irongate. Grosfeld and other Irongate representatives, David Waller, Michael Radovan, and Mitch Laufer, took part in arbitration against Irongate.

Costa Palmas is a residential and resort development of 1,500 acres located in Mexico's East Cape Los Cabos. The complex includes the Residences &Inn of Four Seasons Los Cabos and the Amanvari. Costa Palmas was the latest Jason Grosfeld luxury property development. It has been marketed as the newest exclusive community for celebrities for six years.

Jason Grosfeld Costa Palmas

Jason Grosfeld built and sold residences in Costa Palmas, earning him hundreds of millions. Irongate created the "Trump Ocean Resort," an upscale resort in Baha, California. Irongate could be using the same strategies that caused the project to fail. Recent legal actions against Costa Palmas property owners have led to this conclusion.

Jason Grosfeld Has Been the Subject of Previous Legal Action:

In a 2008 lawsuit filed against Irongate by more than 100 plaintiffs, they claimed that Irongate had defrauded buyers out of over $30,000,000 in deposits and had misled them about Donald Trump's involvement in the Trump Ocean Resort. Univision News and Columbia Journalism Investigations' investigation revealed that Jason Grosfeld and Irongate misled clients for two years. They exaggerated their claim that the project was permanently funded while inflating the number of units sold.

Irongate claimed that the project was moving forward, but after two years, all that was left was an enormous crater and a few concrete slabs. Univision's investigation report revealed that Irongate had misappropriated "massive amounts of deposits" to cover overruns. Costa Palmas, a place of history's full circle, is where you can find it.

Costa Palmas is home to at least another property owner who has sued Irongate. The Lawsuit alleges fraud, extortion, and breach of contract. TRG CP filed a lawsuit in California federal court against Irongate and Mitch Laufer on January 27, 2023. The plaintiff claimed in the Lawsuit that the defendants forced or threatened her to sign an estoppel certification in connection with building a house on Costa Palmas.

Jason Grosfeld and His Legal Issues

Irongate is accused of misrepresenting construction costs and timelines to receive millions of dollars. The complaint states that the house is now a dilapidated concrete shack after the plaintiff paid $5 million. These allegations are similar to those made by GS 1975 LLC. Irongate holds the plaintiff's home hostage and prevents further construction until they pay millions in extra costs. TRG CP, LLC has yet to respond to our requests for comment.

Irongate's representatives, as well as other Costa Palmas residents, may be subject to legal action. Both federal officials in Mexico and the United States have also confirmed that they are investigating this matter.

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